It is expected that from January 1, 2020, land prices in Nghe An will increase.

On the morning of November 29, the Economic - Budget Committee of the Provincial People's Council organized an examination of the draft resolution on approving the land price list in the province, from January 1, 2020 to December 31, 2024. Photo: Mai Hoa

Land price frame increased from high increase

The draft resolution on land price list in the province, from January 1, 2020 to December 31, 2024, developed by the Department of Natural Resources and Environment, has an average increase of land types from 100% to over 300% compared to the current land price frame.

Regarding residential land, in Vinh city area, residential land prices increased from 127 to more than 181%; the highest price reached 65 million VND/m2.²and the lowest is 1 million VND/m².

Or in Ky Son, town area, the highest is 10 million VND/m², the lowest is 500 thousand VND/m²and the remaining communes, the highest is 4.5 million VND/m², the lowest is 70 thousand VND/m².

Land prices in the whole province will be adjusted up compared to the current price. In the photo: A corner of Dien Hoa commune (Dien Chau). Illustration: Sach Nguyen

Regarding land prices for non-agricultural production and business (excluding commercial and service land), they are 50% higher than the price of residential land with the same favorable conditions but not lower than the minimum price prescribed by the Government.

Similarly, the price of commercial and service land is 60% of the price of residential land. For land for production and business serving the purpose of mineral exploitation, it is 150% of the price of adjacent residential land or equivalent location but not exceeding the maximum price of non-agricultural production and business land that is not commercial or service land according to Government regulations...

Vice Chairman of the Provincial People's Council Hoang Viet Duong requested the drafting agency to accept the adjustment to increase the price of forestry land. Photo: Mai Hoa

Concerned about not being close to the market

Examining this content, many members of the Economic - Budget Committee of the Provincial People's Council raised the issue that the land price list according to the draft is not close to the market and is only 30 - 40% of the Government's prescribed framework.

In addition, Mr. Dang Quang Hong - Deputy Head of the Economic - Budget Committee of the Provincial People's Council also expressed concern that the land price list between districts in the delta such as Do Luong, Yen Thanh, Dien Chau, Quynh Luu has a large difference, with some districts having the highest price in the Government's framework but some districts having the lowest price in the framework prescribed by the Government.

Meanwhile, Deputy Head of the Culture - Social Committee of the Provincial People's Council Nguyen Thi Lan is concerned that the prices of land for growing annual crops, land for growing rice, and forestry land are still too low; on the other hand, the prices of garden land and ponds adjacent to residential land, if applied at the same price as land for growing annual crops and land for growing rice, are not appropriate...

Deputy Director of the Department of Natural Resources and Environment Thai Van Nong explains issues raised by the Provincial People's Council. Photo: Mai Hoa

Explaining the issues raised by the Provincial People's Council, Deputy Director of the Department of Natural Resources and Environment Thai Van Nong affirmed that the land price list for the period 2020 - 2024 was built on the basis of market survey and assessment and the Government's general price list framework; at the same time, it took into account the overall situation of many provinces in the region.

Acknowledging the general situation in the country where construction land prices are not close to the market, the Deputy Director of the Department of Natural Resources and Environment also said that the construction of a land price list not only serves the work of compensation and site clearance for construction and project implementation but also serves as a basis for calculating land use fees when the State recognizes land use rights, converts land use purposes; calculates land taxes; calculates fees and charges in land management and use...

Therefore, the construction of the land price list must ensure the harmony of interests among the three parties: people, businesses, the State and the adjustment must be made according to the roadmap for each region, and cannot be sudden...